This week I was speaking to a lady who is thinking about purchasing a home on her own. She's very handy at fixing up properties and has done it in the past with a spouse. Now that she's on her own (no spouse), she's decided to try to put her creative talents to work by finding a home to fix up on her own.
She's decided to buy a foreclosure, because she's well aware that this type of home almost always sells for a lower than market value price and needs work. She's correct on both counts.
Most people purchasing a home want to buy one that needs little or no work. Occasionally a buyer will come along who is looking to earn some "elbow grease equity." Buyers who have some spare cash after a closing, the know-how and a lot of patience and time on their hands are perfect candidates for foreclosed homes.
Where do you find a foreclosure?
Buyers often have misconceptions about finding foreclosures. They think they have to go directly to a bank to find them. This is not the case. When a home goes through the foreclosure process they are put on the resale market and listing in the Realtor data base called the MLS.
Types of foreclosures
Depending upon the type of loan that was foreclosed upon, there are different types of foreclosures. For instance a FHA loan where the seller loses the home will become a HUD Foreclosure. Fannie Mae and Freddie Mac are also treated differently.
One thing in common with all these Denver Foreclosures is they are all found in the MLS. This is a good thing because it provides buyers and brokers with one central source to locate a good property.
Finding a Foreclosed Home to Purchase
If you are looking for a good deal and would like to know about foreclosures as they come on the market, you should subscribe to my Denver Home Search Feature on this website. You can configure a search using your own personal criteria for price, size, location, etc. My search feature is very easy to use, you just need to remember to check the "foreclosure box."
Oddly enough the lady I was chatting with this week had no idea searching for a Foreclosure in Denver could be so easy! Now I bet she wishes fixing one up would go as smooth!